IF appreciation happened to be 3% instead of 2%, that would actually boost returns 2.5% at that leverage ratio. 

SOOOOOOO--- why would a "pro" dramatically over-pay?

“It's time to create a tax system which is fair and which asks the wealthy and powerful to start paying their fair share of taxes.”Special breaks and loopholes in the tax code favor wealthy real estate investors like Trump and do nothing to boost the economy.

I literally grew up watching the house prices rise, rise, rise and then dramatically fall in 2008.

This method won't increase my monthly cash flow much in immediate future, but as loans are paid down and hopefully appreciation occurs, my overall situation should improve dramatically. 

I like that you've already thought of using that to boost your REI experience.

This will boost my income quite a bit, but I understand that switching jobs is a bad idea when you're trying to get a loan.What would you suggest? 

CA prime spots are a long term buy and hold play.. as we know the CA market is subject to some swings in values some can be dramatic.. but over time the state has shown some of the best performance in the entire US... but if your one who worries about value on a daily basis then RE can drive you nuts... if you have a long term investing horizon then you buy and hold and if and when we hit a trough you hold through the trough.. you only lose money when you sell at poor times. 

That market has shifted dramatically in the last 10 years and opportunities abound - especially in the areas you're looking at.  

One idea for someone at your stage in life may also be to boost your human capital some by advancing in your career and saving for that first home (and a 2-4 unit is an ideal target).